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Audits, in general, are time sensitive documents. They must be handled with top priority.

It is essential that any agency bill, additional premium audit be billed promptly.  This gives the agency the opportunity to collect the premium and subsequently earn commission on the item.  If we are not diligent in our tracking, the agency is at risk of being held responsible for payment of the item to the carrier. By following the steps below, we can insure optimum earnings and reduce our potential for loss of income.

On All Accounts

  • Billing of the audit must take place within 5 days of receipt by the agency.
  • This rule applies to agency bill policies only  and  includes additional and return premium audits.

On Direct Bill Accounts

  • Account Executive attaches audit to Q$AU activity and assigns to Account Associate..
  • Accoujt Associate checks audit and send out to client.

On Agency Bill Accounts, Additional Premium

  • Billing of the audit must take place within 4 days of receipt by the agency.
  • Account Executive attaches audit to Q$AU activity and assigns to Account Associate.
  • Account Associate checks & bills audit and sends out to client.
  • Account Associate adds an activity using the category “AUD$ – Did Audit Money Come In?”  Default information should be completed with the proper policy type, company code and amount.  Change the who code to “RW – Robin Waring”.  In the note field, type “If audit money not received, advise CSR to offset and request direct collection”.  Accept all other pre-filled information.
  • Robin Waring will recode the activity to the CSR on the follow-up date and advise if the money was collected.  If it was not, the activity will instruct the CSR to offset and request direct collection.
  • On that same date, close the activity, offset (do not delete) the transaction and request direct collection from the carrier using the form letter “Request for Direct Collection of Audit”.  Upon exit of the letter, the system will bring you to an activity “Audit Direct Collection”.  Once again, default information should be completed with the proper policy type, company code and amount.  In the note field, include the name of the person the request for direct collection was sent to.  Accept all other pre-filled information.

 On Agency Bill Accounts, Return Premium

  • Billing of the audit must take place within 4 days of receipt by the agency.
  • Account Executive attaches audit to Q$AU activity and assigns to Account Associate.
  • Account Associate checks & bills audit and sends out to client.

Checking Audits

  • Locate policy from audit policy term
  • Check deposit premium on audit against premium on expired policy
    • If different, search for the endorsements that amend the premium
    • Note – certain  charges may be excluded  (Expense Constants)
  • Check rates on audit against rates on policy – They must match.
  • Put checkmarks next to each rate to confirm that rates do match.
  • Insert exposure amount from expired policy in red (payroll or sales )
  • Audit AP or RP is the difference between the Deposit premium and the audit premium.
  • Check calculation.
  • Find expired policy in History & Bill audit as an AUD.